chapter five people matter - defence home6. personnel serving in ships are included against the...

CHAPTER FIVE

PEOPLE MATTER

PEOPLE

WORKFORCE OVERVIEW

PERFORMANCE AGAINST PEOPLE MATTERPRIORITIES IN 2002-03

NON-OPERATIONAL TRAINING

WORKPLACE EQUITY AND DIVERSITY

OCCUPATIONAL HEALTH AND SAFETY

ANNUAL REPORT ON THE ADMINISTRATION ANDOPERATION OF THE DEFENCE FORCE (HOMELOANS ASSISTANCE) ACT 1990

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PEOPLE

WORKFORCE OVERVIEWActual Staffing As At 30 June 2003

The people chapter presents a range of views of the Australian Defence Organisationworkforce during 2002-03. It includes numbers of personnel, employment categoriesand locations, gender information, and details of recruiting and separation during theyear. This chapter will discuss the changes in the workforce that occurred during2002-03, and represents personnel information at or up to the 30 June 2003.

At 30 June 2003, the Defence Organisation had 92,467 employees, including 73,379ADF members and 19,088 APS members. The ADF workforce included 14,480 Navypermanent and Reserve members, 42,461 Army permanent and Reserve members and16,438 Air Force permanent and Reserve members. The number by each element andthe percentage of each service is represented in the charts below. The actual strengthof the permanent component of the ADF at 30 June 2003 was 51,791.

Chart 5.1: Defence Workforce Staffing as at 30 June 2003

At 30 June 2003, there were 19,088 APS personnel. This number includes all APSpersonnel Defence has recorded as employees and includes full time, part time,ongoing and non-ongoing, and paid and unpaid employees at 30 June 2003.

This was an increase of 718 compared with the 30 June 2002 figure and is an overallincrease of just under 4 per cent. There was increased participation by females in theworkforce with 297 more than the 30 June 2002 level, an increase of just under 5 percent. The increase in male participation was 421 above the 30 June 2002 levels orslightly under 4 per cent. These increases largely reflect the civilianisation of Servicepositions in non-operational functions, an increase in personnel for the war on terror

Australian Defence Workforce

51,791

21,588

19,088

Permanent ADF Reserve ADF APS

Defence Workforce by Service

16%

45%

18%

21%

Navy Army Air Force APS

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especially in intelligence and security, support of increased operational commitmentsand delays in market testing of elements of the departmental workforce.

The employment of over 2000 professional service providers is not included in Chart5.1 above. These persons are contracted for specialist tasks for finite periods.Examples include health professionals and para-professionals, project managers andinformation technology engineers.

Table 5.1: Distribution of Australian Defence OrganisationPersonnel by Employment Location, as at 30 June 2003(1)

NSW Vic Qld SA WA Tas NT ACT(2) O/S(3) Total

PermanentForces(4)(5)

Navy(6) 5,235 2,159 803 105 2,528 16 520 1,322 176 12,864Army 5,119 3,378 8,728 602 856 96 3,145 1,877 1,488 25,289Air Force 4,925 1,190 2,406 1,618 379 10 1,158 1,498 454 13,638

Sub Total 15,279 6,727 11,937 2,325 3,763 122 4,823 4,697 2,118 51,791ReserveForces(7)

Navy 482 261 249 20 195 70 48 286 5 1,616Army 4,853 3,074 4,103 1,277 1,862 697 588 598 120 17,172Air Force 583 403 784 340 176 42 84 378 10 2,800

Sub Total 5,918 3,738 5,136 1,637 2,233 809 720 1,262 135 21,588Total 21,197 10,465 17,073 3,962 5,996 931 5,543 5,959 2,253 73,379APS(8) 3,817 4,051 1,619 2,006 619 99 378 6,368 131 19,088Grand Total 25,014 14,516 18,692 5,968 6,615 1,030 5,921 12,327 2,384 92,467

Notes1. Figures in this table show actual staff numbers as at 30 June 2003 and are not average funded

strengths.2. ACT includes personnel located at Jervis Bay.3. Permanent Forces and Reserves overseas represent personnel posted for long-term duty and

deployments.4. Permanent Forces figures include paid and unpaid members.5. Personnel are shown in the location they are administered from.6. Personnel serving in ships are included against the state or territory in which the ship is

home-ported.7. Figures are Reserves with training obligations.8. APS figures include full time, part time, ongoing, non-ongoing, paid and unpaid employees.

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Table 5.2: Distribution of APS Personnel by EmploymentLocation and Classification, as at 30 June 2003(1)

StaffingClassification NSW Vic Qld SA WA Tas NT ACT O/S(2) Total

Secretary 1 1Senior ExecutiveService(3) 0 7 1 8 0 0 0 93 2 111(4)

TemporarilyVacant (5) 1 4 5

SES ReliefStaffing(6) 0 2 0 1 0 0 0 10 0 13

Executive Levels(7) 315 669 75 690 66 6 15 1,779 88 3,703Executive ReliefStaffing(8) 27 26 10 7 2 0 3 178 2 255

Other APSLevels(9) 3,475 3,347 1,533 1,299 551 93 360 4,303 39 15,000

Total 3,817 4,051 1,619 2,006 619 99 378 6,368 131 19,088Notes1. Figures in the table show actual staff numbers as at 30 June 2003 and include 276 personnel who are

presently on some form of unpaid leave.2. Overseas figures represent personnel posted for long and short-term duty as at 30 June 2003.3. Senior Executive Service (SES) includes Under Secretary, Deputy Secretary, First Assistant Secretary,

Assistant Secretary, Chief of Division and Medical Officer 6 classifications.4. Defence has 116 SES positions and figures reflect 111 officers at their substantive level.5. Figures reflect SES positions pending permanent filling action.6. SES Relief Staffing indicates non-SES officers who are temporarily acting in SES positions. These

officers are on higher duties while the incumbents are taking leave, acting in higher positions or onsecondment to other agencies.

7. Executive Levels include Levels 1 and 2 and senior principal research scientists and medical officerGrade 4.

8. Executive Relief Staffing indicates APS levels temporarily acting in Executive Level positionspending permanent filling action or while incumbents are taking leave, acting in higher positions oron secondment to other agencies.

9. APS levels include Australian Public Service levels 1 to 6, information technology, professional,technical, and trade/physical officers.

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Table 5.3: ADF Permanent and Reserve Forces, and APSPersonnel, by Gender and Employment Category(1)

As at 30 June 2002 As at 30 June 2003(2)

Men % Women % Men % Women %NavyTrained Force

Officers 1,687 13.4 309 2.5 1,682 13.1 331 2.6Other Ranks 7,269 57.7 1,297 10.3 7,385 57.4 1,417 11.0

Training ForceOfficers 534 4.2 191 1.5 551 4.3 182 1.4Other Ranks 1,047 8.3 271 2.1 1,084 8.4 232 1.8

Total 10,537 83.6 2,068 16.4 10,702 83.2 2,162 16.8ArmyTrained Force


Training ForceOfficers 499 2.0 125 0.5 554 2.2 110 0.4Other Ranks 1,893 7.5 140 0.6 844 3.3 76 0.3

Total 22,659 90.0 2,511 10.0 22,752 90.0 2,537 10.0Air ForceTrained Force


Training ForceOfficers 530 3.9 107 0.8 546 4.0 127 0.9Other Ranks 971 7.1 133 1.0 608 4.5 101 0.7

Total 11,585 85.2 2,005 14.8 11,608 85.1 2,030 14.9ADF PermanentTrained Force

Officers 8,315 16.2 1,383 2.7 8,455 16.3 1,446 2.8Other Ranks 30,992 60.3 4,234 8.2 32,420 62.6 4,455 8.6

Training ForceOfficers 1,563 3.1 423 0.8 1,651 3.2 419 0.8Other Ranks 3,911 7.6 544 1.1 2,536 4.9 409 0.8

Total 44,781 87.2 6,584 12.8 45,062 87.0 6,729 13.0ADF Reserves(3)

Navy 1,006 4.8 231 1.1 1,294 6.0 322 1.5Army 14,301 68.1 2,855 13.6 14,457 67.0 2,715 12.6Air Force 2,114 10.1 494 2.3 2,273 10.5 527 2.4

Total 17,421 83.0 3,580 17.0 18,024 83.5 3,564 16.5APS(4)

Total 12,027 65.5 6,343 34.5 12,448 65.2 6,640 34.8Notes1. Figures in the table are actual staff numbers as at 30 June 2002 and 30 June 2003.2. Percentage figures are calculated against the individual permanent service totals which can be found

in Table 5.1.3. Figures are Reserves with training obligations.4. Figures exclude locally engaged APS overseas.

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Table 5.4: APS Personnel by Gender and Category as at30 June 2003 (1)(2)(3)

Category Full-Time Part-Time Total

Ongoing employees Male 11,977 54 12,031Female 5,880 290 6,170

Non-ongoing employees Male 397 20 417Female 429 41 470

Total Male 12,374 74 12,448Female 6,309 331 6,640

Total APS Personnel 18,683 405 19,088Notes1. Figures in this table show actual staff numbers.2. Figures exclude locally engaged civilians overseas.3. Figures include paid and unpaid staff.

Table 5.5: APS Senior Executive Service Staff as at 30 June2003(1)(2)

Total SES 2002-03Engagements(3)

2002-03Separations(4)

Men Women Total Men Women Total Men Women TotalSenior ExecutiveBand 1

52 16 68 11 4 15 7 1 8

Senior ExecutiveBand 2

18 4 22 2 - 2 1 - 1

Senior ExecutiveBand 3

6 - 6 1 - 1 1 - 1

Chief of DivisionGrade 2

12 - 12 1 - 1 - - -

Chief of DivisionGrade 3

3 - 3 - - - - - -

Temporarilyvacant

2 3 5

Total 93 23 116 15 4 19 9 1 10Notes1. Figures in this table show actual staff numbers at their substantive level and officers on higher duties

pending permanent filling action. Defence has 116 APS Senior Executive Staff positions. As at 30June 2003, 111 SES were in substantive positions and five officers were on higher duties pendingpermanent filling of the positions. Officers on higher duties, not pending permanent filling action,are not included.

2. Gains and losses do not reflect movement of officers between levels in each of the Senior ExecutiveService and Chief of Division streams.

3. Engagement figures include new engagements, promotions and transfers from other agencies forongoing employees only.

4. Separation figures include resignations and redundancies, and promotions and transfers to otherdepartments for ongoing employees only.

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Table 5.6: Star Ranked Officers as at 30 June 2003

Total Star Rank 2002-03 Promotions 2002-03Separations

Men Women Total Men Women Total Men Women Total

Four StarNavy - - - - - - 1 - 1Army 1 - 1 1 - 1 - - -

Three StarNavy 2 - 2 2 - 2 1 - 1Army 1 - 1 - - - 1 - 1Air Force 1 - 1 - - - - - -

Two StarNavy 7 - 7 1 - 1 1 - 1Army 9 - 9 4 - 4 3 - 3Air Force 7 - 7 3 - 3 3 - 3

One StarNavy 26 - 26 9 - 9 6 - 6Army 39 - 39 11 - 11 7 - 7Air Force 25 1 26 8 - 8 4 - 4

Total 118 1 119 39 0 39 27 0 27Notes1.

Promotions include those officers promoted between levels.2.Separations include only those officers who have separated from Defence.3.

Officers on acting or higher duties are not included.

Enlistments and Recruitment

The ADF enlisted 5,338 permanent members, 4,462 men and 876 women, for the 12months to 30 June 2003 as shown in Table 5.7. This was 1,245 less than that achieved in2001-02. Conversely, 2002-03 showed a reduction in separation rates and has largelyoffset the lower number recruited. There were 5,107 separations from the ADF for thetwelve months to 30 June 2003. This is 606 fewer than 2001-02 and indicates that thetrend started during 2001-02 is continuing and provides the opportunity to grow morequickly towards White Paper workforce target.

A continued improvement in numbers in the Reserve component of the ADF is evidentwith a further increase from 21,001 during 2001-02 to 21,588 during 2002-03. Theincrease to 3,065 Reserve enlistments in 2002-03 was an improvement of 195 above the2,870 recruited in 2001-02 and along, with slightly improved retention, has producedthe overall increase in the Reserves.

The overall recruiting achievement against targets for the permanent and reserveforces for 2002-03 was 84 per cent, which was an improvement of 3 percentage pointshigher than achievement for 2001-02.

(1) (2)(3)

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Table 5.7: ADF – Permanent Force Enlistments 2001-02 and2002-03(1)(2)(3)

Navy Army Air Force ADF

Men Women Men Women Men Women Men Women

2001-02Trained ForceOfficers 9 1 45 20 - - 54 21Other Ranks 46 4 385 59 - - 431 63Training Force

Officers 202 77 199 33 298 78 699 188Other Ranks 1,065 332 2,196 161 1,178 195 4,439 688

Total 1,322 414 2,825 273 1,476 273 5,623 9602002-03Trained Force

Officers 14 2 167 28 - - 181 30Other Ranks 65 10 256 58 - - 321 68

Training ForceOfficers 134 43 287 51 247 65 668 159Other Ranks 1,093 312 1,590 160 609 147 3,292 619

Total 1,306 367 2,300 297 856 212 4,462 876Notes1. Figures in this table show actual staff.2. Enlistments exclude Reserves commencing periods of full-time duty.3. Figures include inter and intra-Service transfers processed by the Services and, therefore, do not

correlate with the recruiting activity shown in Table 5.8.4. All Air Force recruits are enlisted into the Training Force.

Table 5.8: ADF – Permanent Force Recruiting Activity2001-02 and 2002-03


2001-02Total Inquiries 22,165 61,432 42,449 127,290(1)

Formal Applications 5,487 10,388 7,537 23,412Applicants Enlisted 1,590 2,844 1,402 5,836Target 1,863 2,830 1,614 6,307Percentage Achieved 85 100 87 93

2002-03Total Inquiries 14,780 41,952 28,414 85,312(2)

Formal Applications 4,560 7,185 5,897 17,642Applicants Enlisted 1,556 1,842 924 4,322Target 1,842 2,342 980 5,164Percentage Achieved 84 79 94 84Notes1. This figure includes 1,244 full-time Tri-Service inquiries that relate to inquirers who were undecided

on which Service they wished to pursue full time.2. This figure includes 166 full-time Tri-Service inquiries that relate to inquirers who were undecided

on which Service they wished to pursue full time.

(4)

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Chart 5.2: ADF – Permanent Force Recruiting Target versusAchievement 2001-02 and 2002-03

-

500

1,000

1,500

2,000

2,500

3,000

Navy Army Air Force

2001-02 Target 2001-02 Enlisted 2002-03 Target 2002-03 Enlisted

Table 5.9: ADF – Reserve Force Recruiting activity 2001-02and 2002-03


2001-02Total Inquiries 1,451 25,002 2,550 29,003Formal Applications 265 6,836 478 7,579Applicants Enlisted 42 2,712 116 2,870Target 179 3,878 325 4,382Percentage Achieved 23 70 36 65

2002-03Total Inquiries 898 24,946 2,876 28,727(1)

Formal Applications 157 7,622 577 8,356Applicants Enlisted 54 2,889 122 3,065Target 160 3,129 316 3,605Percentage Achieved 34 92 39 85

Notes1. This figure includes 7 part time tri-Service inquiries that relate to inquirers who were undecided on

which Service they wished to join.

Chart 5.3: ADF – Reserve Force Recruiting Target versusAchievement 2001-02 and 2002-03

-

5001,0001,500

2,0002,5003,000

3,5004,000

4,5005,000

Navy Army Air Force

2001-02 Target 2001-02 Enlisted 2002-03 Target 2002-03 Enlisted

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Separations

Separation rates in the Permanent Force across all three Services fell in 2002-03 to a ten-yearlow. The Navy’s was below 12 per cent, the Army’s below 10 per cent and the Air Force’sbelow 8 per cent. The reduced voluntary separations were partly offset by an increase ininvoluntary separations.

Table 5.10: ADF – Permanent Force Separations 2001-02 and2002-03(1)(2)

Voluntary Involuntary(3)Age

Retirement

Cadetsand

Trainees Total

2001-02Navy Officers 160 9 0 41 210

Other Ranks 902 128 0 215 1,245Army Officers 414 25 21 113 573

Other Ranks 1,479 365 20 442 2,306Air Force Officers 238 8 25 44 315

Other Ranks 895 9 35 125 1,064Total ADF Officers 812 42 46 198 1,098

Other Ranks 3,276 502 55 782 4,6152002-2003

Navy Officers 176 17 5 41 239Other Ranks 778 157 0 317 1,252

Army Officers 323 35 12 98 468Other Ranks 1,190 428 9 412 2,039

Air Force Officers 209 10 1 35 255Other Ranks 652 71 20 111 854

Total ADF Officers 708 62 18 174 962Other Ranks 2,620 656 29 840 4,145

Notes1. Figures in this table show actual staff.2. Non-effective personnel (personnel on maternity leave and leave without pay) and Reserves

completing periods of full-time duty are not included.3. ‘Involuntary’ primarily comprises members who were medically unfit or unsuitable for further

training.

Staffing By Average Strength

The information presented within this section represents average staffing levels andprovides a comparison of personnel achievement against budgeted personnelestimates for the financial year. The following tables assess performance againstbudget and revised staffing level estimates for 2002-03.

The permanent force average strength was 52,080 including 1,127 Reservistsundertaking full-time service. These reservists were employed primarily within theother ranks.

The ADF achieved an average strength figure of 3,142 towards the additional 3,555average funded strength provided under the Government’s commitment to an Armywith six full-time battalions and an enhanced combat support group in the Air Force.

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Improvements in recruiting and separation rates will provide the Services with anopportunity, over the next few years, to grow more quickly towards the White Paperforce end states than had previously been anticipated.

Table 5.11: ADF Permanent Force Average FundedStrength(1)

Permanent Forces2001-02Actual

2002-03Budget

Estimate

2002-03Revised

Estimate2002-03Actual

Variation(2002-03

Actual lessRevised

Estimate)

Personnel Numbers – Average Strength %Navy 12,598 12,838 12,838 12,847 9 0.1Army 25,012 25,289 25,785 25,587 -198 -0.8Air Force 13,322 13,196 13,446 13,646 200 1.5

Total Permanent Forces 50,932 51,323 52,069 52,080 11 0.0Note1. Staffing numbers for Permanent Forces are based on average funded strengths and includes

Reservists undertaking full-time service. The average number of Reservists undertaking full-timeservice included Navy 359, Army 619 and Air Force 149.

The reserve strength figures represent Reservists who rendered paid service during thefinancial year. The 2002-03 Reserves actual numbers were 19,620, a decrease of 738from the revised estimate of 20,358, but an increase of 752 over the 2001-02 figure. Thisfigure excludes the average number of Reserves on full-time service in the PermanentForce during 2002-03.

Table 5.12: ADF Reserve Funded Strength(1)(2)

Reserve Forces2001-02Actual

2002-03Budget

Estimate

2002-03Revised


Variation(2002-03

Actual lessRevised

Estimate)

Personnel Numbers – Paid Strength %Navy 1,544 2,142 2,142 1,404 -738 -34.5Army 15,669 16,300 16,500 16,211 -289 -1.8Air Force 1,655 1,576 1,716 2,005 289 16.8

Total Reserve Forces 18,868 20,018 20,358 19,620 -738 -3.6Notes1. Reserve figures represent numbers of General Reserves who rendered paid service during the

financial year.2. During the financial year, an average of 1,127 Reservists undertook full time service in the

Permanent Force, and are included in the Permanent Force staff table.

The APS average strength for 2002-03 was 18,385, an increase of 441 from the revisedestimate of 17,944. The forecast increase during the year was related to an expectedincrease in the use of APS in non-operational functions, combined with delays inmarket testing within the Corporate Services and Infrastructure Group. The outcomealso reflected delayed reductions through the rationalisation of the Defence IntegratedDistribution System and the implementation of new ADF recruiting arrangements.

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The APS workforce continued to grow in the first half of the year in response toheightened security and operational commitments and through changing businessrequirements.

Recognising that continued growth, within the APS element of the Defence workforce,would exert significant budgetary pressure on the portfolio, a suspension onrecruitment activities was applied between late January and April 2003. Therecruitment suspension had the desired effect of arresting growing numbers.Following this action, it was agreed that a measured APS reduction program beundertaken over the next three years as a contribution towards the Defence’s programof administrative savings.

Table 5.13: APS Average Funded Strength(1)

APS2001-02Actual

2002-03Budget

Estimate

2002-03Revised


Variation(2002-03

Actual lessRevised

Estimate)

Personnel Numbers – Average Strength %Total APS 16,819 17,328 17,944 18,385 441 2.5

Note1. Staffing numbers for civilians are based on average funded strengths.

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Table 5.14: Breakdown of Average Funded Strengths byService and Rank

2001-02Actual

2002-03Budget

Estimate

2002-03Revised

Estimate

2002-03Actual

NAVY1 Star Officers and above 34 35 35 35Senior Officers 403 404 404 432

2,349 2,394 2,394 2,380Other Ranks 9,812 10,005 10,005 10,000Sub-total Permanent Navy 12,598 12,838 12,838 12,847Reserves(1) 1,544 2,142 2,142 1,404

Sub-total Navy 14,142 14,980 14,980 14,251ARMY

1 Star Officers and above 49 50 50 50Senior Officers 561 545 558 558

4,431 3,756 4,546 4,458Other Ranks 19,971 20,938 20,631 20,521Sub-total Permanent Army 25,012 25,289 25,785 25,587Reserves(1) 15,669 16,300 16,500 16,211

Sub-total Army 40,681 41,589 42,285 41,798AIR FORCE

1 Star Officers and above 36 33 37 35Senior Officers 503 417 510 517

3,364 3,364 3,439 3,489Other Ranks 9,419 9,382 9,460 9,605Sub-total Permanent Air Force 13,322 13,196 13,446 13,646Reserves(1) 1,655 1,576 1,716 2,005

Sub-total Air Force 14,977 14,772 15,162 15,651APS

Senior Executives(2) 102 117 117 110Senior Executive Relief Staff(3) 15 20Senior Officers(4) 3,264 3,278 3,563 3,539Senior Officer Relief Staff(3) 290 295Others 13,148 13,933 14,264 14,421

Sub-total APS 16,819 17,328 17,944 18,385Total Workforce 86,619 88,669 90,371 90,085

Notes1. The 2002-03 Reserve strength represents Reservists who undertook paid service.2. There is one Secretary position and 116 SES positions in Defence. The figure of 110 average substantive

SES includes the Secretary of Defence.3. Relief Staff represent personnel acting within a higher classification for short durations pending

permanent filling action or while the incumbents are taking leave, acting in higher positions or onsecondment to other agencies.

4. Senior Officers include substantive Executive Levels 1 and 2.

Junior Officers

Junior Officers

Junior Officers

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PERFORMANCE AGAINST PEOPLEMATTER PRIORITIES FOR 2002-03

This section reports on performance against the priorities included in the People Mattersections of the Portfolio Budget Statements 2002-03 and in the Portfolio AdditionalEstimates Statements 2002-03.

Workforce Planning

Establish the Strategic Workforce Planning Review

AchievedThe Strategic Workforce Planning Review was completed with the Defence Committeeendorsing the final report in May 2003. The implementation of reviewrecommendations has commenced.

Develop the Defence Workforce Plan

Substantially AchievedThe Defence Workforce Plan addresses high priority workforce risks to capability interms of skills, numbers and costs over the next ten to 20 years. Significant progresshas been made in developing the plan, which will be submitted to the DefenceCommittee for endorsement in late 2003.

Establish the Defence People Plan

Partially AchievedThe Defence People Plan is now being developed with the aim of being operationalfrom 2004-05. The plan will include specific initiatives and a budget that will beupdated each financial year. The focus for 2002-03 was the completion of the StrategicWorkforce Planning Review as the overarching framework for people planning inDefence. The People Plan will be developed against the framework of the StrategicWorkforce Planning Review to link people initiatives to workforce capability.

Review of Australian Defence Force Remuneration

AchievedIn 2001, an external review of the ADF’s remuneration policies, practices andarrangements (The Nunn Review) was undertaken. The review resulted in a report,Review of Australian Defence Force Remuneration 2001, for consideration by the Ministersfor Defence and Finance and Administration. The report was released in August 2001.

In 2002-03, Defence proceeded with a parallel activity which is consistent with theNunn Review, dealing specifically with remuneration reform. The RemunerationReform Program, currently in progress, proposes a phased approach to rationalisingsome elements of existing allowances with the outcome of developing a new paystructure for the ADF by the end of 2003-04.

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Implement the Defence Employees Certified Agreement2002-03

AchievedThe Defence Employees Certified Agreement 2002-03 was implemented followingcertification in April 2002. Implementation progressed well, with positive feedbackbeing received from staff during consultation workshops for the replacementagreement. Some provisions will be carried over into the 2004-06 agreement, which isunder negotiation.

Develop a Replacement Workplace RemunerationArrangement for the ADF

Partially AchievedThe current ADF workplace remuneration agreement was agreed by the Defence ForceRemuneration Tribunal in November 2002, and provides for a six per cent pay riseover the period of the arrangement (from 7 November 2002 to 6 May 2004). Thereplacement enterprise productivity arrangement for the ADF is required to be in placeby May 2004. Consultation with the ADF is in progress. Arrangements for the ADFwill be developed in parallel with the Defence Employees Certified Agreement 2004-06.

Develop legislation for the new Military Rehabilitationand Compensation Scheme

Substantially AchievedThe exposure draft of the Military Rehabilitation and Compensation Bill 2003 wasreleased for consultation on 27 June 2003. The bill remained an exposure draft until31 August 2003 to allow time for the ADF and veteran communities to comment.Current planning is that the bill will be introduced during the spring session ofParliament in 2003. The objective is for the new Act to be operational from July 2004.

Conduct Defence Census 2003

AchievedThe Defence census was conducted as scheduled on 18 March 2003. The currentcensus database has been used extensively by Defence, relevant external agencies andacademic institutions in developing personnel policy. Data analysis is in progress andthe final census report will be available in November 2003.

Develop ‘family friendly’ personnel policies to promotework-life balance

AchievedThe following policies have been implemented for the ADF:

• emergency child care for ADF members recalled to duty away from their normalplace of residence; and

Performance against People Matter Priorities for 2002-03

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• the Defence School Transition Aid Program to provide in-school advice andsupport to children of ADF members who are required to relocate.

The following policies were developed for Defence civilians and are outlined in theDefence Employees Certified Agreement 2002-03:

• access to flexible working hours;

• access to home-based work;

• flexible leave provisions including parental leave;

• assistance in meeting dependant care costs where job demands imposeadditional dependant care costs; and

• access to the use of Defence provided child care, where places are not taken bythe ADF.

Develop and implement a coordinated approach to360-degree-feedback reporting across Defence

AchievedA 360-degree feedback program has been developed and implemented across seniorlevels of Defence. Senior leadership and feeder groups have accessed the program.The 360-degree feedback instrument has been aligned with the Defence leadershipmodel as the basis for informing senior leadership performance.

Establish a new agreement between Defence and theUniversity of New South Wales for the delivery ofeducational and select support services at theAustralian Defence Force Academy

Substantially AchievedThe new agreement arose from an independent review by Professor Ian Zimmer intothe educational arrangements at the Australian Defence Force Academy. Negotiationswith the university have been completed. The new agreement has been developed andis under ministerial consideration.

Develop and implement a strategy for better businessmanagement education and training in Defence

Partially AchievedIn December 2002, Defence identified a more strategic approach to developingbusiness skills of staff. The business skilling review is aimed at developing options fora whole-of-Defence business skilling system. The final review report was submitted tothe Defence Committee in September 2003.

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Implement the Defence e-learning strategy

Partially AchievedThe Defence e-learning strategy is a White Paper undertaking that will delivercommon standards for a whole-of-Defence e-learning system. Funding has beenapproved for the implementation of the strategy over a three-year period. A tender forthe selection and procurement of an integrated learning management system wascompleted. Implementation commenced in May 2003.

Develop a new Defence Workforce Equity and DiversityPlan

AchievedThe Defence Workforce Equity and Diversity Plan 2003-2005 is directed at ensuring thatequity and diversity principles are integrated with the way Defence conducts itsbusiness. The plan has been developed and is being implemented.

Develop and implement a Defence-focused package foroverseas conditions of service

Substantially AchievedPrior to 1 July 2002, conditions of service and rates of all allowances for Defencepersonnel serving overseas were based on those provided by the Department ofForeign Affairs and Trade. A new specific Defence-related package aims to ensuremore targeted and cost effective measures for those overseas locations where Defencepersonnel are located.

Establish a centre for military and veterans’ health toprovide post graduate training for ADF healthprofessionals

Substantially AchievedThe Centre for Military and Veterans’ Health is to be established at the University ofQueensland School of Medicine. The partners for this initiative are the University ofQueensland, Adelaide University and the Menzies School of Health Sciences.Contracts were signed in August 2003, with the centre expected to be operational inFebruary 2004.

Implement Phase 1 of HealthKEYS to allow the captureof injury statistics and assist in the development ofinjury prevention strategies

Not AchievedImplementation of HealthKEYS commenced with pilot projects in late 2002. It washalted due to software problems and slow network response times. The issue of slowresponse times has been resolved and other issues are being addressed. Pilot activityre-commenced in August 2003. ADF-wide implementation is scheduled to take placein the first half of 2004.


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Implement the ADF Mental Health Strategy (includingthe ADF Alcohol Management Program)

Partially AchievedImplementation of the ADF mental health strategy has been steady, although somemilestones were not met. Initiatives that are being successfully implemented include:

• strategies for improved mental health literacy;

• improved information sharing among professional groups; and

• enhanced mental health service delivery including the development of atri-Service model for the mental health management of ADF members involvedin critical incidents and a preventative program focusing on adjustment issuesfor ADF members returning from peacekeeping and overseas operations.

Activities undertaken as part of the ADF alcohol management program includedevaluations of the Navy alcohol and drug program and the alcohol rehabilitation andeducation program. A training package for ADF health and welfare staff wasdeveloped and is being implemented. Planning is well advanced for an all hourssupport line and improved counselling support.

Develop a Defence Injury Prevention Program

AchievedThe program was developed at a number of pilot sites covering 15 per cent of thefull-time ADF population. Within the sample selected for pilot testing, the programhas resulted in a 95 per cent reduction in rates of pelvic stress fracture for female Armyrecruits, elimination of serious knee injuries in recruits negotiating an obstacle courseand ten to 45 per cent reduction in rates of injury in other ADF groups.

Introduce a revitalised ADF spouse employmentassistance program

Substantially AchievedIn February 2003, the Defence People Committee endorsed an expanded program toprovide improved employment opportunities to partners of ADF members. The newprogram, the Services Workforce Access Program for Partners, was launched on10 October 2003 at HMAS Albatross. Service-supplier arrangements are beingfinalised with the Department of Employment and Workplace Relations and selectednational recruitment agencies.

Implement recommendations from research on theimpact of mobility of the ADF on education outcomes ofchildren

Partially AchievedThe research is linked to the findings of a study entitled Changing Schools: Its Impact onStudent Learning, the result of a joint project conducted on behalf of Defence and theDepartment of Education, Science and Training. The purpose of the study was to

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investigate issues associated with student mobility and to document policies andpractices used to identify and support students who frequently relocate. Two nationalprojects have emerged from the report’s recommendations. Defence and theDepartment of Education, Science and Training have entered into a memorandum ofunderstanding to jointly sponsor the two projects. The project reports are due in early2004.

Establish more child care centres in areas of high needwithin Australia

Partially AchievedIn 2001-02, a five-year child care expansion initiative was developed by the DefencePeople Committee to increase the number of child care centres and places in areaswhere the local communities are unable to support Defence child care needs. During2002-03, planning commenced for the establishment of new child care centres in thehigh-need areas of East Sale, Williamtown, Puckapunyal and Holsworthy, withconstruction to take place during 2003-04.

In addition, the number of non-centre-based child care places in areas of high needwas increased, including family day care, outside school hours care and occasionalcare. To address a national shortage of child care workers, a scheme has been initiatedto assist Defence spouses seeking employment to work as registered carers. Child careneeds analysis surveys have been conducted in Adelaide and Rockingham todetermine Defence family needs in these areas.

Continue evaluation of a southern region trial ofprivate sector provision of ADF recruitment services

AchievedThe evaluation was completed. The Minister Assisting the Minister for Defenceannounced, in September 2002, that Defence would proceed with a nationalcollaborative arrangement with Manpower Services Australia Pty Ltd to deliverrecruiting services to the ADF. An amendment to the existing contract betweenManpower and Defence was signed in November 2002. The collaborative organisationformed under this contract and known as Defence Force Recruiting, becameoperational on 1 July 2003.

Develop a more effective selection process for officerentry into the ADF

Partially AchievedIn September 2002, a research study was undertaken to investigate aspects of officerentry into the Australian Defence Force Academy. The study was an initial phase ofqualitative research seeking to gain a better understanding of target market attitudes.In 2002-03, a trial, based on this study, was conducted for the centralisation of theAustralian Defence Force Academy’s officer selection boards with the objective ofimproving officer recruitment. A recruiting campaign to be conducted in 2003-04 willfocus on major activity in the secondary school environment and will supplementachievement of officer entry recruiting targets for the Academy.


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Develop a training program aimed at eliminatingworkplace harassment

AchievedThe training program is available to Defence personnel in a PowerPoint presentationformat and as an on-line initiative. It describes workplace bullying and providesdirection to staff on identifying and managing such behaviour.

Continue implementation of the new public servicetraining package

AchievedThe development and piloting of 50 modules of training under the nationallyrecognised Public Service Training Package has been completed. Customisation ofsome materials has been undertaken to meet specific Defence needs. A nationalreview of the training package is under way, with the revised package being launchedin 2004. Defence is represented on the National Steering Committee.

Conduct an analysis of social and demographicenvironments to assess the quality of infrastructureand social services available to ADF members

Substantially AchievedA comprehensive study, Northern Territory/Kimberly area personnel project towardsenhancing retention, was undertaken to better understand personnel retention issues,including infrastructure and social services, specific to northern Australia. This modelof investigation will be followed for other regions on a priority basis.

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NON-OPERATIONAL TRAINING

Corporate Leadership Initiatives

Key achievements in 2002-03 included the evaluation of the Capstone Program(targeted at the ADF star ranked officers and the APS Senior Executive Service), theResults through People Program and the process for selecting civilian participants forstudy at the Centre for Defence and Strategic Studies. The objective was to ensureongoing improvement of each initiative in line with current Defence priorities. As anoutcome of the evaluation, the Capstone Program has been re-designed and an‘emotional intelligence’ component has been included in the Results through Peopletraining. The selection processes for the Defence and Strategic Studies Course havebeen amended to reflect closer alignment to the Australian Public Service SeniorExecutive Leadership Capability Framework, primarily to target high performingExecutive Level 2 staff with the potential to progress to the Senior Executive Service.

Graduate Development Program

As indicated in the table below, the Defence graduate intake continues to grow, withthe total intake increasing over a five-year period. Planning is under way to establish agraduate Information Stream in 2004.

Table 5.15: Graduate Intake FiguresProgram 1998-99 1999-00 2000-01 2001-02 2002-03

Graduate Development ProgramGeneralists 50 56 45 50 48People Strategists - - - 8 8Business Analysts - - 5 10 8Defence Materiel Graduate Scheme 66 80 29 43 46Corporate Services and Infrastructure Group - - - 6 6Defence Science and Technology Scheme 51 24 10 51 36Defence Signals Directorate Scheme 25 37 36 31 54Total 192 197 125 199 206

Public Service Training Package

In 2002-03, distance learning delivery of the Public Service Training Package waspiloted with 45 students undertaking training across Australia. As a result of this pilotinitiative, a strategy for flexible learning solutions is being developed to increase accessto the training package.

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Business Education Skills Development

A suite of financial, procurement and project management courses are offered toDefence personnel. Tertiary-level financial management courses offered include:

• a ten-week intensive accrual accounting course provided through the CanberraInstitute of Technology. A total of 68 Defence personnel successfully completedprograms provided during 2002-03;

• a Diploma in Government Financial Management. A total of 49 Defencepersonnel completed the diploma during 2002-03; and

• a Graduate Certificate in Professional Management (Finance). A total of 26Defence personnel graduated from the program.

Curricula for simple and complex procurement training in Defence were redeveloped.A procurement recognition process has also been developed, together with a networkof assessors to enable Defence staff with a background in procurement to achievecompetency for knowledge and skills developed on the job. During 2002-03, 3,375Defence personnel received training in simple procurement, while 2,008 receivedtraining in complex procurement modules. Additionally, a total of 508 competencyrecognition processes, which look at prior learning, were conducted.

Training for the Resource and Output Management and Accounting Network systemwas also re-developed. As the corporate financial system for Defence, the systemencompasses corporate budgeting, accounting and reporting, and supports theDefence resource management framework.

Vocational Education and Training

Defence registered training organisations are accredited to issue a total of 144 nationalqualifications from 17 training packages and a further 436 nationally recognised'accredited course' qualifications (as at 30 June 2003). A database of Defence accreditedvocational education and training has been established. It is for the use of current andformer members of Defence, their employers and potential employers, and othereducation providers.

Table 5.16 classifies non-operational training provided to Defence staff, according tototal student days and numbers of students.

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Table 5.16: Non-Operational TrainingType of Training Total

Student DaysNumber

ofStudents

Accrual Accounting 680 68Australian Defence College 302,373 1,967Business Education and Skills Development (ROMAN andFinancial Management training)

10,947 8,397

Capstone Program 470 47Defence Materiel Organisation Contract Management training 1,476 738Defence Materiel Organisation Logistics training 3,004 624Defence Materiel Organisation Project Management training 3,134 708Defence Renewal Workshops 1,226 613Defence Safety Management Agency 1,950 1,254Defence Security Authority 660 330Diploma in Government Financial Management 2,326 76Graduate Certificate in Professional Management (Finance) 1,421 117Joint Ammunition Logistics Organisation 1,387 767Project Management and Procurement training 10,558 5,383Public Sector and People Skills Development 4,069 3,176Regional Education Training and Development Units 22,332 14,931Results Through People workshops 1,542 514Total 369,555 39,710

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WORKPLACE EQUITY AND DIVERSITY

Overview

The Defence Workplace Equity and Diversity Plan 2003-2005 was published in May 2003.The plan is aimed at ensuring that equity and diversity principles are integrated withthe way Defence operates. Other publications produced and promoted in 2002-03included the Guide to Equity and Diversity in Defence booklet and the Equity andDiversity in Defence brochure. The Defence Equity Organisation also revised andreleased the booklet entitled A Guide to Fair Leadership and Discipline in the AustralianDefence Force, Defence instructions relating to the Defence equity adviser network andpolicy on religious practices of the ADF.

During 2002-03, the number of Defence staff trained as equity advisers increased from2,800 to approximately 4,000. To complement the equity adviser network, Defencecontinued to maintain the toll-free and confidential Defence Equity Advice Lines,which were available to Defence personnel and their families.

Each year, Defence celebrates its diverse workforce by participating in broadercommunity activities. One example is Harmony Day, celebrated in March 2003, whichfocused on religious harmony, acknowledging the range of religions represented inDefence. Together with the Religious Advisory Council to the Services, the DefenceEquity Organisation developed a Declaration of Religious Harmony in Defence. Thedeclaration was signed by representatives from the Buddhist, Islamic, Jewish andChristian faiths at a ceremony held at Russell Offices in Canberra. In July 2002, as itscontribution to National Aboriginal and Islander Day Observance Committee Week,Defence conducted a memorial service at the Aboriginal and Torres Strait IslanderMemorial in Canberra to honour Australia’s indigenous servicemen andservicewomen. The International Day of People with a DisAbility was observed inDecember 2002, through the dissemination of information, display of posters andinvitation of guest speakers.

Education and Training

Equity and diversity awareness training is a mandatory requirement for all Defencepersonnel. Awareness training is available as a PowerPoint presentation and as anon-line course. During 2002-03, approximately 80 per cent of Defence personnelundertook this training. Although this is a good result for Defence, strategies are beingdeveloped to ensure a higher level of participation in 2003-04.

In October 2002, an awareness session entitled Defence: Fair, Inclusive and Bully-free waslaunched. These information sessions, conducted in 2003, were aimed at informingand providing direction to staff on identifying and dealing with this type of behaviour.

Equity adviser workshops and refresher courses were conducted in all regions. Inaddition, the Defence Equity Organisation conducted six ‘Fair Go’ courses throughoutthe year, generating awareness of discriminatory practices to 113 staff members ofcareer management agencies. In 2002-03, the Defence Equity Organisation established

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a cultural awareness training fund. During the year, approval for funding was grantedto five units to undertake cultural awareness training at a total cost of $28,462.

Diversity

The commitment to a diverse workforce is articulated in the Defence MulticulturalPolicy. The diversity profile of the workforce is obtained through the analysis ofvoluntary information provided by staff on joining Defence. The profile is based ondata related to people with a disability, people from a non-English speakingbackground and Aboriginal and Torres Strait Islanders. The table below demonstratesthat there was little change in the Defence diversity profile in 2002-03.

Table 5.17: Diversity of all Defence Personnel as at 30 June2002 and 2003(1)

Male Female Non-Englishspeaking

background(2)

Aboriginal andTorres Strait

Islanders

Peoplewith a

disability(3)

% % % % %

01-02 02-03 01-02 02-03 01-02 02-03 01-02 02-03 01-02 02-03Navy 83.6 83.2 16.4 16.8 0.7 1.5 0.05 0.1 0 0Army 90.0 90.0 10.0 10.0 Not known 4.6 Not known 0.27 0 0Air Force 85.2 85.1 14.8 14.9 4.1 5.2 0.15 0.16 0 0APS 65.4 65.2 34.1 34.8 13.3 14.0 0.53 0.52 2.8 2.5

Notes1. Figures for the Navy, the Army and the Air Force include full-time personnel and Reservists on

continuous full-time service.2. A non-English speaking background includes any person who indicated that either one or both

parents was from a non-English speaking background or spoke English and another language athome.

3. People with a disability includes people with an identified physical or mental disability (includingchronic ailments or conditions such as diabetes).

Indigenous Australians

In 2002-03, Defence launched a pilot mentoring and peer support program to assistparticipants of the national indigenous cadetship project. Defence sponsored four newcadetships under the project. Six cadets continued their cadetships during the yearand three graduated.

Two indigenous liaison officer positions were established in Woomera and Darwin todevelop and maintain links with local indigenous communities. As part of the ADFCadet Indigenous Participation Strategic Plan, two additional indigenous liaisonofficers were appointed to manage pilot projects to enhance indigenous participationin the ADF cadet scheme.

Defence continued its participation in the Aboriginal and Torres Strait IslanderCommission Army Community Assistance Program. The program utilises theexpertise of the Army to provide vital infrastructure assistance to remote indigenouscommunities. One project, incorporating seven indigenous communities, was

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completed during 2002-03 and is currently under a 12-month ‘defects liability’ period.Another project is currently under construction at Palm Island.

Women

Based on research into gender diversity in Defence, undertaken in 2002 by a projectteam from the Australian Graduate School of Management, the Defence EquityOrganisation developed a draft Gender Diversity Strategy in 2002-03. Stakeholdershave agreed to the overall themes and principles of the draft strategy. A workinggroup has been identified to develop future actions and responsibilities.

Men and women have equal access to employment in the ADF with the exception ofcertain functions involving direct combat duties. Following a direction from the thenChiefs of Staff Committee in November 2001, planning commenced on a proposal toenable physical employment standards to be developed for the Army's combat armsemployment categories and the Air Force's airfield defence guards. The project willresult in data being collected to enable improved understanding of the physicalcharacteristics and performance capacity of Defence personnel and to develop a tradeselection and barrier testing regime that will optimise an individual’s likely success ineach employment category. The project will begin in the second half of 2003.

Disability

The Commonwealth Disability Strategy 1994 requires all departments and agencies todevelop a Disability Action Plan and lodge it with the Human Rights and EqualOpportunity Commission. Defence complied with this requirement and produced theDisability Action Plan 1999-2003, aimed at ensuring that people with a disability werenot disadvantaged in being employed at Defence. With the cessation of the DisabilityAction Plan 1999-2003 on 30 April 2003, actions to ensure fair treatment of disabledpeople have been included in the Defence Workplace Equity and Diversity Plan 2003-2005.

Under the Technical Equipment for Disabled Commonwealth Employees Program,Defence continued to provide equipment for APS employees with disabilities. Theequipment included voice recognition software, monitors for the visually impaired,wheel chair hoists and hearing aids. In 2002-03, $38,000 was expended on thisinitiative.

Unacceptable Behaviour

Defence maintains a strong stance on all personnel having the basic right to work in anenvironment free from harassment, discrimination and other unacceptable behaviour.Initiatives in place to address unacceptable behaviour include:

• the availability of policy documents and other publications to all staff;

• a mandatory requirement for all Defence personnel to undertake equity anddiversity awareness training;

• a network of approximately 4,000 Defence staff trained as equity advisers toprovide advice on equity and diversity matters; and

• a toll-free, confidential Defence Equity Advice Line.

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433

In August and September 2002, a representative sample of 5,160 ADF members and asample of 1,500 Defence APS employees were selected to participate in the 2002 ADFand Defence APS unacceptable behaviour surveys. In line with survey findings andthe need to make equity and diversity a mainstream element of people management,the theme for the 2004 equity and diversity awareness presentation will be ‘Makingand Managing a Complaint of Unacceptable Behaviour’. A training program, ‘Equityand Diversity Responsibilities of Managers and Supervisors’, was launched in July2003.

The Defence Equity Organisation maintains a database of reported incidents ofunacceptable behaviour. Current statistics show an overall increase in incidentreporting from all Services, with the exception of the Army, whose reporting hasdecreased slightly. The overall upward trend in reporting may indicate that there is anincreasing awareness of equity and diversity policies and processes, resulting inpeople taking appropriate action as part of their rights. The relatively high number ofcomplaints in the Navy may be attributed to the confidence in the chain of commandto deal with these issues. The increase in reported complaints by Defence APSemployees and contracted staff may be attributed to the stronger awareness ofreporting requirements.

Chart 5.4 shows the total number of unacceptable behaviour incidents reported foreach of the last four years. Prescribed unacceptable behaviour includes sexualoffences, sexual harassment, general harassment, fraternisation, workplace bullyingand abuse of power.

Chart 5.4: Comparison of Reported Unacceptable BehaviourIncidents 1999-2003

0

50

100

150

200

250

1999-2000 2000-01 2001-02 2002-03

Num

ber o

f Rep

orts

NavyArmyAir ForceAPS

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Chart 5.5 indicates the number of complaints of unacceptable behaviour per head ofthe Defence population for 2002-03. The figures are derived from a straight percentagecalculation using the number of personnel in each Service and the number ofcomplaints reported for each Service.

Chart 5.5: Percentage of Reported Unacceptable BehaviourIncidents by Service for 2001-02 and 2002-03

0.00%

0.20%

0.40%

0.60%

0.80%

1.00%

1.20%

1.40%

1.60%

Navy Army Air Force APS

2001-02

2002-03

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OCCUPATIONAL HEALTH AND SAFETY

Administrative Framework

Given the importance of occupational health and safety in Defence, an OccupationalHealth and Safety Committee was established as a sub-committee of the DefenceCommittee. An Occupational Health Safety and Compensation Branch was alsoestablished within Defence Personnel Executive, bringing together a number of relatedareas to provide a focus for both occupational health and safety prevention andcompensation.

As part of the overall administrative framework for dealing with health and safetyissues, each Group has a Group safety coordinator to assist in generating improvedawareness of occupational health and safety in Defence and to achieve consistency inimplementing policies. Health and safety training is provided annually to staff.

A ‘wellbeing’ program was developed to assist staff to improve their fitness andhealth. Three main principles – health matters, life matters and physical matters –underpin this program. These principles are applied across the organisation and areadaptable to suit the needs and wants of separate geographic sites. Other occupationalhealth and safety training programs have continued to ensure that the importance ofthe health and safety of people is continually reinforced in the workplace.

Key Initiatives

Develop the Defence Occupational Health and SafetyStrategic Plan

Substantially AchievedThe plan will provide the basis for a more consistent and cohesive approach toimproving health and safety in Defence. The Occupational Health and SafetyCommittee is overseeing this plan which is expected to be finalised by the end of 2003.The Committee will monitor and report on the development and maintenance of theDefence occupational health and safety management system.

Develop and implement a Corporate Safety GovernanceSystem

Partially AchievedA key achievement in 2001-02 was the establishment of a corporate safety governancesystem to be implemented over a three-year period. As part of this process, 13 Defencesafety performance requirements were outlined as the basis for reporting.Implementing the system in 2002–03 included Group progress reports on performanceagainst these requirements. Reports indicated a commitment to safety by seniorexecutives although inconsistency was apparent in implementation across Defence.The issue of inconsistency is being addressed through the preparation of material toprovide specific guidance to Groups.

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Develop a Defence Radiation Safety Policy

AchievedA decision to develop a Defence radiation safety policy was taken in 2001 to ensureDefence was able to adhere to the terms of a licence issued by the Australian RadiationProtection and Nuclear Safety Agency. Subsequently, a radiation safety policy wasdeveloped and promulgated in the Defence Safety Manual 2002. In addition, acomprehensive policy on radiofrequency radiation safety was developed during2002-03 and will be promulgated in the Defence Safety Manual (second edition) 2003.

Develop frameworks for regulator relationships

Substantially AchievedIn 2002-03, formal and informal mechanisms were established, and existing systemsstrengthened, to assist in communication with key stakeholders. Examples include theDefence/Comcare Liaison Forum, the Defence Union/Management Forum andmembership, participation in the Commonwealth Safety Managers’ Safety Forum andthe Defence/Department of Veterans’ Affairs Links Board.

Notification and Reporting of Incidents

In 2002-03, 10,635 incident reports were received. Advice to Comcare is based on fourcategories of incidents: dangerous occurrences, incidents resulting in incapacity andincidents resulting in serious personal injury and death. Data on incidents over athree-year period is provided in the table below.

Table 5.18: Incident ReportingReports 2000-01 2001-02 2002-03

Defence Safety Management AgencyIncident reports (1) 8,455 11,870 10,635

ComcareDeath(2) 6 5 2Serious personal injury(3) 1,819 962 545Incidents resulting in incapacity(4) 144 503 344Dangerous occurrences(5) 1,978 3,153 2,307

Notes1. Incident reports are any significant incidents or accidents caused by work-related employment

within Defence or as a result of a Defence undertaking.2. Comcare reportable deaths.3. Incidents resulting in serious personal injury are those where emergency treatment is provided by a

medical practitioner at a hospital or where the employee requires hospitalisation.4. Incapacity is when an employee is unable to perform work for 30 or more consecutive days or shifts.5. Dangerous occurrence is a near miss incident that could have, but did not, result in a fatality,

incapacity or serious personal injury.

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Defence Civilian Compensation

Civilian compensation and rehabilitation

A total of 420 workers’ compensation claims were received from Defence employees in2002-03. There were 84 injuries sustained while employees were travelling to or fromthe workplace, 25 on authorised sport, and seven during a normal recess. The other304 injuries occurred during work. The Defence Civilian Injury Prevention andManagement Framework is being developed to identify and implement effective,targeted strategies to:

• reduce the incidence of workers’ compensation claims;• reduce the duration of time off work;• ensure improved accountability and responsibility for injury prevention and

management; and• reduce the workers’ compensation premium.

Investigations By Comcare

Comcare investigations include:

• planned investigations;• targeted investigations on specific issues;• reactive investigations resulting from an incident or accident; and• whole-of-agency investigations as part of Comcare’s three-year rolling plan.

Comcare investigations undertaken for each of these categories over a three-yearperiod are outlined in the table below.

Table 5.19: Investigations by ComcareReports 2000-01 2001-02 2002-03

Planned Investigations 10 3 -Targeted Investigations - - 10Reactive Investigations 48 26 25Whole of Agency Investigations 2 2 -Total 60 31 35

Notices Issued By Comcare Investigators

Comcare investigators are able to issue notices as follows:

• an ‘Improvement Notice’ based on a situation that contravenes the OccupationalHealth and Safety Act or regulations;

• a ‘Prohibition Notice’ issued by a Comcare investigator to remove an immediatethreat to the health or safety of a person; and

• a ‘Do Not Disturb Notice’ for a specified period of time to remove a threat to thehealth and safety of a person.

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Three improvement notices and one prohibition notice issued in 2001-02 remaincurrent.

In 2002-03, ten Comcare notices were issued to Defence. An improvement notice wasserved on HMAS Warramunga relating to machinery turning gear. As a result of theinvestigation, similar gear on all Anzac-class frigates is being modified. Twoimprovement notices were issued to RAAF Williamtown in relation to an overheadcrane collapse. These were addressed through a risk assessment, developing of safework procedures and installation of suitable devices. Two improvement notices wereserved on HMAS Westralia as a result of the Comcare investigation of modificationsmade after the fire of May 1998. The Comcare investigation did not take place untilafter the completion of the HMAS Westralia Board of Inquiry. The issue related to therequirement for a system of safe work practices and adequate scrutiny of maintenanceand repair. The Navy has met Comcare requirements.

Data on Comcare notices over a three-year period is summarised in the table below.

Table 5.20: Comcare NoticesReports 2000-01 2001-02 2002-03

ComcareImprovement Notices 6 4 5Prohibition Notices 3 1 2‘Do not Disturb’ Notices - - 3Total 9 5 10

Military Compensation and Rehabilitation

The Military Compensation and Rehabilitation Service in the Department of Veterans’Affairs administers the following components of the Military Compensation Schemeon behalf of Defence with respect to serving and former members of the AustralianDefence Force:

• Safety, Rehabilitation and Compensation Act 1988, as amended by the MilitaryCompensation Act 1994, under delegation from Comcare; and

• Chapter 10, Part 5 of Defence Determination 2000/1 under the Defence Act 1903.

Services benefits comprise compensation and rehabilitation services and transitionmanagement services to assist ADF members who are being discharged on medicalgrounds to make a successful transition to civilian life. Performance is reportedannually by the Department of Veterans’ Affairs.

On 27 June 2003, the Minister Assisting the Minister for Defence, released an exposuredraft of the new Military Rehabilitation and Compensation Bill for consultation. Thenew scheme combines traditional elements with modern compensation principles tomeet the needs of current and future ADF personnel and their families. The Bill willremain an exposure draft until 31 August to allow time for the ADF and the Veterancommunities to comment. It will be introduced during the spring session ofParliament in 2003. Current plans are for the new Act to be operational from July 2004.

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ANNUAL REPORT ON THEADMINISTRATION AND OPERATION OFTHE DEFENCE FORCE (HOME LOANS

ASSISTANCE) ACT 1990

Legislation

The Defence HomeOwner Scheme is covered by the Defence Force (Home LoansAssistance) Act 1990. Section 39 of the act requires that an annual report be preparedfor the Minister on the administration and operation of the act. The annual report isset out below.

Description

The Defence HomeOwner Scheme is an Australian Government initiative thatprovides a subsidy on the interest payable on a home loan for members of the ADF.The scheme is open to permanent Defence Force members who enlisted on or after15 May 1985 and to those permanent Defence Force members who elected to revoketheir entitlement under the Defence Service Homes Scheme in favour of a DefenceHomeOwner entitlement. Reserve and Emergency Force personnel who providepart-time efficient service are also eligible for assistance.

The Defence Housing Authority administers the scheme for Defence. The benefits areprovided under an agreement between the National Australia Bank and theCommonwealth. Under the scheme, the Commonwealth assesses eligibility andentitlement and pays monthly interest subsidies on loans provided by the NationalAustralia Bank. Interest subsidy is paid on loans between $10,000 and $80,000.Spouses who are both members of the ADF can apply for a combined subsidised loanof up to $160,000. The subsidy amount is calculated at 40 per cent of the averagemonthly interest to be paid over the life of a 25-year loan.

Providing a person has a period of entitlement, the subsidised loans can be used fromone home to another during service as often as is required and once within two yearsof the date of separation from the ADF.

Subsidy Entitlement

The subsidy entitlement period is calculated on the number of completed years ofeffective full-time service after completion of a five-year qualifying period. Thequalifying period for active Reservists is eight continuous years of efficient service.

For members with operational or war-like service, the five year qualifying period iswaived and the maximum period of the subsidy may be extended from 20 to 25 years.There are special considerations for re-joining members, widows and widowers,eligible persons and members discharged as a result of a compensatable disability.

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Objectives

The objectives of the Defence HomeOwner Scheme are to attract and retain ADFpersonnel, to encourage home ownership during service as a cost-effective alternativeto rental assistance and to assist in the reintegration of ADF personnel into thecommunity on return to civilian life.

Program Evaluation Against Objectives

The objectives of the Defence HomeOwner Scheme are achieved through providing asubsidised home loan for a period which is directly related to the member's length ofservice with the permanent or reserve forces, bringing home ownership within thereach of more members and providing a subsidised loan once within two years ofseparation from the ADF.

During 2002-03, there were 2,271 application for entitlement certificates and 1,544applications for loan subsidies processed. The total number of approval loans currentas at 30 June 2003 was 6,195. Since 2000, the take-up rate has improved and is almostdouble that of 1998-99.

Encourage Home Ownership as a Cost Effective Alternative to RentalAssistanceThe take-up rate has remained high. Much of this is a direct result of the significantrise in eligibility numbers from personnel serving in war-like areas and the fact thatinterest rates remain low. The introduction of the Government’s First Home Buyer’sScheme and the availability of the Home Purchase Assistance Scheme have also madebuying a very attractive option.

Assist in the Re-integration of Defence Force Personnel into theCommunity on Return to Civilian LifeOf new subsidy applications, 35 per cent were from members either discharging ortransferring to the Reserves. This is five per cent higher than last year and continues tobe a growing trend.

Performance Evaluation of the Administrationof the Scheme

Defence is satisfied with the administration of the scheme by the Defence HousingAuthority. During the reporting period, there were no appeals lodged with theAdministrative Appeals Tribunal against decisions made by the delegate.

The National Australia Bank has met its obligations to the Government under the Actand has provided effective support to the scheme. The National Australia Bank and

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441

the Defence Housing Authority continue in their efforts to streamline theadministration process of obtaining the subsidy.

Table 5.21: Applications for Payment of Subsidy by Type ofAssistance

Activity 1998-99(1) 1999-2000(2) 2000-01 2001-02 2002-03

Buy a home 1,011 709 1,332 1,042 953Re-finance a loan 333 322 350 321 356Enlarge a home 12 11 8 11 4Build a home 193 150 139 220 186Renovate a home 26 30 34 54 45

Notes1. Prior to 1999-2000, the above figures were taken from the entitlement certificate applications.2. From 1999-2000, the figures are taken from the subsidy application.

Table 5.22: Comparison of ActivitiesActivity 1998-99 1999-2000 2000-01 2001-02 2002-03

Applications for entitlementcertificate received 1,575 2,122 2,959 2,451 2,271Entitlement certificateissued(1) 1,474 2,006 2,829 2,342 2,186Applications for entitlementcertificatedeclined/withdrawn 106 116 130 109 85Applications for payment ofsubsidy received 941 1,222 1,863 1,648 1,544Applications for payment ofsubsidy approved 938 1,194 1,845 1,634 1,520Applications for payment ofsubsidydeclined/withdrawn 13 3 18 14 24Number of subsidy payeesas at 30 June 3,519 3,970 5,051 5,816 6,195Amount of subsidy paid ($) 3.6m 4.4m 6.6m 6.5m 7.4m

Note1. Entitlement certificates are valid for 12 months.

Operational Costs

An annual management fee of $491,920 (including GST) was paid in 2002-03 to theDefence Housing Authority by Defence. The Authority was also paid a fee in respectof each application for entitlement certificates lodged. These fees totalled $171,869(including GST).

chapter five people matter - defence home6. personnel serving in ships are included against the...

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